Following Westpac and HSBC yesterday, ASB is the latest major bank to raise most fixed mortgage rates.
The increases are effective today (July 12, 2013) at 5pm.
Other brands in the ASB stable have made the same changes which means rates for BankDirect and Sovereign changed too.
The increases announced by ASB today set its carded rates as among the highest for big banks for terms of 1 year and longer.
However, it has reduced its 6 month fixed rate to 5.10% to 5.19%.
All other changes are increases.
Its one year rate rises to 5.25%, an increase of 6 bps from 5.19%.
Its 18 month rate rises to 5.50% an incraese of 5 bps from 5.45%.
It has raised its two year fixed rate to 5.65%, up 20 bps from 5.45%.
Its three year fixed rate is now 6.05%, up 10 bps from 5.95%.
For four years, their fixed rate is now 6.30%, up by 15 bps.
And for five years their new rate is 6.60%, higher by 15 bps.
ASB's 30 bps discount for Christchurch red zone new build deals applies to all the above rates.
See all advertised mortgage rates here.
| 1 yr | 2 yrs | 3 yrs | 4 yrs | 5 yrs | |
 |
4.95% | 5.50% | 5.95% | 6.15% | 6.45% |
 |
5.25% | 5.65% | 6.05% | 6.30% | 6.60% |
| BNZ | 5.25% | 5.40% | 5.90% | 6.15% | 6.35% |
| Kiwibank | 4.89% | 5.45% | 5.90% | 6.15% | 6.45% |
 |
5.19% | 5.65% | 6.04% | 6.30% | 6.60% |
| Co-op Bank | 4.94% | 5.45% | 5.90% | 6.10% | |
| HSBC Premier | 4.99% | 5.50% | 5.90% | 6.15% | 6.40% |
| SBS / HBS | 4.95% | 5.25% | 5.65% | 5.85% | |
 |
4.88% | 5.45% | 5.80% | 6.10% | 6.30% |
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5 Comments
Read these links and then tell me that the world economy can recover with high interest rates:
Digging in for hard times as boom busts in Australia
http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=108…
Euro countries sliding into depression
http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=108…
France has rating cut
http://www.cnbc.com/id/100883386
China crisis as demand slumps
http://www.dailymail.co.uk/news/article-2359399/China-crisis-Weak-globa…
And meanwhile in NZ we have low inflation
http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=108…
These banks are ripping us off with the highest margins we have ever seen and multi billion profits. Negotiate hard with your bank - do not accept published mortgage rates and do not be suckered into fixing longer than 1 year only to find out longer term rates have reverted back to record lows. The banks usual "spring special" rates are only 6 weeks away!
Do you really believe interest rates will be higher in 12 months given how sick the worlds economies are looking?
Don't panic.
Just a clever strategic move by banks to move rates up a little while the media has them covered by some possible threats of rate rises on the horizon.
The borrowing market & economy will not bear too much in the way of rate rises.
They may well fall again.
If we needed an OCR of 2.5 in relatively benign conditions, what will we need if NZ gets some serious headwinds if Aus & china falter?
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